Npc International Restructuring Support Agreement

LEAWOOD, Kan.–(BUSINESS WIRE)-NPC International, Inc. (“NPC” or “the company”) announced today that it has entered into a restructuring support agreement (“RSA”) with lenders holding approximately 100% of the company`s first priority commitments and 70% of its first pledge bonds (the “Senior Secured Lender Group”) in order to significantly reduce NPC`s long-term debt and strengthen the company`s capital structure. NPC and senior Secured Lender Group expect RSA`s terms and conditions to be part of a broad Chapter 11 plan to restructure the company`s balance sheet and optimize the restaurant portfolio across the country. So there will be three large parallel workflows here. First, there`s the sale. Debtors will use a 250 mm (100 mm interval) DIP to attend the proposed auction on November 24. Second, debtors will submit a plan and disclosure statement in which the sale is described by the plan (ah, taxes) and the “resale processing of receivables and interest.” A purchase price of $2.1 billion is the existing capital debt of $1.86 billion (part of the reason for the restructuring agreement supported by 61% of priority lenders). After the debtors, “… For the most part, all commercial and other ordinary course obligations are fully paid and/or executed by the Stalking Horse Purchaser under the Stalking Horse Purchase Agreement in Chapter 11 cases.” The plan also provides for a liquidative trust to deal with excluded assets and liabilities as well as honeywell receivables.

Per debtor: additional information on Chapter 11, including access to court records and other documents relating to the restructuring process, is available in dm.epiq11.com/NPC; either by phone for the NPC Restructuring Information Line at (855) 917-3563 (U.S. toll-free) or at (503) 502-4403 for non-U.S. parties or send an e-mail to NPCInquiries@epiqglobal.com. “We are very pleased with the support we receive from our senior lenders, demonstrating their confidence in NPC and our potential for long-term success as soon as we put the company in a stronger financial position,” said Carl Hauch, CEO and President of Wendy`s at NPC.